SEBI through Circular No. SEBI/HO/CFD/CFD-PoD-2/P/CIR/2025/93 dated June 26, 2025, introduced Revised Industry Standards on “Minimum information to be provided to the Audit Committee and Shareholders for approval of Related Party Transactions (RPTs) effective from September 01, 2025.”
Background:
- The objective was to bring greater transparency and uniformity in RPT disclosures by prescribing a standardised disclosure format.
- These Standards were developed by the Industry Standards Forum (ISF) comprising ASSOCHAM, CII, and FICCI, in consultation with SEBI.
- The framework aimed to simplify compliance compared to earlier Master Circular requirements, while ensuring that Audit Committees and shareholders receive sufficient information to take informed decisions.
To assist stakeholders with implementation and provide clarity on the provisions of the above SEBI circular, the National Stock Exchange of India has, vide Circular Ref. No. NSE/CML/2025/36 dated September 04, 2025, published Frequently Asked Questions (FAQs) on the said Industry Standards.
Stakeholders are advised to review the FAQs for a better understanding of the scope, applicability, and practical aspects of the revised requirements.
Click here to view the updated FAQs issued by NSE : https://nsearchives.nseindia.com//web/circular/2025-09/NSE_Circular_04092025_20250904192918.pdf
